TSX open
Loading markets…
Stocks

Zscaler’s 14% Undervaluation Claim: What Investors Should Know

By Wealth Awesome -

Follow live quotes and coverage.

Stocks & ETFs:ZS.US

Follow ZS

Photos provided by Pexels

A headline published October 31 says Zscaler’s stock may be 14% undervalued as demand for AI security grows. The supplied information doesn’t identify how that estimate was calculated or include figures measuring AI-security demand. Zscaler’s latest supplied close was US$223.51, down 5.90% for the day.

Investor takeaway: The 14% figure is a valuation claim in the headline. The information provided doesn’t explain the calculation or quantify demand for AI security.

US$223.51 latest close

Zscaler Inc

ZS.US

Full stock page →

ZS.US

Zscaler Inc

Source:WealthAwesomeWealthAwesome
↑ $71.36 (46.81%)
120 day period
$123.80$192.13$260.45May 13Aug 10Nov 2

Market cap

$36.49B

52W high

$333.90

52W low

$114.63

1W change

-14.08%

Beta

0.84

Analyst Price Targets

Based on 47 analysts covering ZS · as of Oct 26, 2026

📈

Wall Street analysts forecast ZS stock price to rise 5.1% over the next 12 months.

Consensus

Buy

4.38 / 5.00

Avg. Target

C$235.19

+5.1% Upside

Previously C$233.31 on Oct 22, 2026

Current Price

C$223.79

Last close

Analyst Breakdown (47 analysts)

Strong Buy 29
Buy 7
Hold 11
Compare analyst targets →

Targets are snapshotted when they change. Unchanged figures keep their original date. Not financial advice.

Wealth Awesome Price Forecast

WA Model

Statistical 90-day price range based on ZS's historical volatility

HistoricalForecast68%95%
C$120.34C$215.13C$309.91C$404.70C$499.49C$594.27TodayJun 26Aug 31Nov 2Dec 15Jan 28Mar 12

30-Day Vol

64.3%

Annualized

90-Day Vol

61.7%

Annualized

Trend (90d)

+50.0%

Annualized drift

90d Mean

C$267.54

Expected price

HorizonExpected68% Range (1σ)
30 trading daysC$237.52C$190.26 – C$296.51
60 trading daysC$252.08C$184.20 – C$344.98
90 trading daysC$267.54C$182.19 – C$392.89

Methodology: Range is calculated using 30-day realized volatility via geometric Brownian motion (log-normal model). 68% band = ±1σ, 95% band = ±2σ. This is a statistical model, not a prediction. Past volatility does not guarantee future results. Not financial advice.

Zscaler’s latest supplied close was US$223.51. The information provided doesn’t explain how the headline’s 14% undervaluation estimate was calculated.

Bull case

The headline points to growing demand for AI security, and Zscaler shares gained 13.83% over the month, based on the supplied performance figures.

Bear case

The headline doesn’t provide a valuation method or demand data. The supplied figures also show the shares fell 5.90% in one day and 14.08% over one week.

What the 14% undervaluation headline says

The October 31 headline, “Zscaler (ZS) Stock May Be 14% Undervalued As AI Security Demand Builds,” makes two claims: that the stock may be undervalued by 14%, and that demand for AI security is growing. The information provided doesn’t identify the estimate’s source, explain its assumptions, or include sales, bookings, or other figures to support the demand claim. So this is a third-party valuation headline, not a company filing or a disclosed financial result in the supplied information. Visit the Zscaler stock page for more details.

The supplied share and trading figures

Zscaler closed at US$223.51. The shares fell 5.90% in one day and 14.08% over one week, but gained 13.83% over one month and 1.46% year to date. Latest volume was 237,842 shares, compared with a 20-day average of 2,840,181 shares; the supplied volume comparison is 0.68x. The close was within the stated 52-week range of US$114.63 to US$333.90. Zscaler’s market capitalization was about US$36.49 billion. Its supplied trailing EPS was -US$0.39, and its profit margin was -1.9%. These figures describe the stock and reported fundamentals, but they don’t verify the 14% valuation claim. See the Zscaler stock page for more company details.

What to watch for in the claim

The main question is how the 14% estimate was calculated. The headline doesn’t state the valuation method, time horizon, or assumptions. It also gives no metric or company guidance to support its reference to AI-security demand. Future company disclosures or financial figures addressing demand and performance could help put the headline in context, but none are included here. The available information supports reporting the claim and share data, not treating the estimate as an established value.

Wealth Awesome
Written by

Wealth Awesome

Timely coverage of Canadian stocks, earnings, dividends, and market movers for DIY investors. Stories are checked against exchange data and public filings.

View Full Profile →

✅ Reviewed by Certified Financial Professionals

This content has been reviewed by CFA® charterholders and Certified Financial Planners (CFP®) with over a decade of experience in Canadian financial markets. All information is fact-checked against official Canadian sources and regulations.

Why these credentials matter: CFA® charterholders complete 900+ hours of rigorous study in investment analysis and ethics. CFP® professionals are held to the highest standards of financial planning competency and fiduciary duty in Canada.

📊 Data AccuracyVerified sources
🇨🇦 Canadian FocusLocal expertise
🔍 Fact-CheckedEditorial review

⚠️ Professional Disclaimer

This content is for educational purposes only and should not be considered personalized financial advice. While our team brings professional expertise, individual circumstances vary. For personalized guidance, consult with a qualified financial advisor, tax professional, or mortgage specialist.

Published: November 3, 2026
Last Updated: November 3, 2026

Core portfolio

Awesome Portfolio™

14.8% a year since 2017, against 9.7% for the S&P/TSX Composite. Ten stocks, easy to manage. We update it once a month.

Annualized

+14.8%

Awesome Portfolio™

+9.7%

S&P/TSX

+5.0 pp better a year

Total return

+254%

Awesome Portfolio™

+134%

S&P/TSX

+119 pp better than the TSX

2017-07-31 to 2026-09-29, dividends reinvested, before fees and tax.

Awesome Portfolio™S&P/TSX CompositeCumulative return · 2017-07-31–2026-09-29
-11.7%42.5%96.7%150.9%205.1%259.3%Jul 17Oct 19Feb 22Jun 24Sep 26